The same here, I just cannot switch the grass off on our server by changing the terrain detail setting. However, if I include setterraingrid 50 in the missions, there is no grass. But it should work through server config.
My other problem is, that internal voice doesn't seem to be working.
But the game has become totally playable on my not so new computer, and the multiplayer part has been improved since 1.02 a lot.
Oh that's sad news I was so waiting for 1.05 to fix the multiplayer grass issue... I would appreciate if somebody told me how to do the setterraingrid-thing to my server, or there will be no multipleyr playing for me and my friend (we have low-end computers)